Settlement with BofA
Date: Mon, 08/08/2011 - 16:15
I had a question regarding charge-offs. We had a Gold Option Loan with BofA and had been paying on it $300 a month on a reduced payment plan for the last two years. Recently, we got behind because of a reduction in income and also some medical bills. I still kept in contact with them and tried to pay what we could but we did miss a few months. Recently, it came to the point where we had to pay $600 in order to keep it from going to the next level. I had payments set up but one of the payments came back returned from my bank, which I did not find out until 3 days after the fact. Once I did, I called BofA, and they said it had charged off on the 5th and I called them on the 6th! Of course, it was a Saturday when I called and the people that I needed to speak to were not there. Here it is Monday, and I call them this morning and I asked them if there was any way to bring it back from "charge off", seeing as how it had only happened 2 days ago. They say no and go into the rigamarole about how once it is in "charge off" mode, they they are basically just waiting to get it out to the collection agency, but as of right now, BA still technically has it. So, I then call the woman who I had set up the payments with two weeks ago and she is sympathetic and actually calls the Recovery Dept. and speaks to them to explain what happened and then so I talked to the Recovery Dept. and after some hemming and hawing, they finally admit that they can do settlements and payments plans right there. The number that they gave me for that specific Dept. is 800.475.2025. The balance on the acct. is around $12000 and was wondering if anyone has had success settling a Gold Option loan (which is an unsecured line of credit) for around 25 or 30%? Seems like they would be pretty willing to negotiate, especially since only happened so recently. Also, the loan was in my husband's account but I have always been the one talking to them and communicating with them about this account. Can I still be the one who negotiates with them or does it always have to be the person whose name is on the account? If we could settle for say $3000, that would be a big help. Also, is there a chance to get this account back with BofA after it's been charged off; it's only been a matter of days so doesn't seem like it would be too difficult but of course the people I talk to make it seem like it is not allowed or something. Any help or information regarding this process would be appreciated!
I was facing the same problem few months back. I was able to set
I was facing the same problem few months back. I was able to settle the debt for around 45%. I hope you are able to settle the debt for 25%-35%. There is a very less chance to get this account back with BofA. Nevertheless, you can always request them to take back this account from Recovery Dept.
Yes. I settled a little less than 20k for a little less than 5k.
Yes. I settled a little less than 20k for a little less than 5k.
This was about a day before charge off however. My experience settling after C/O is quite limited
Hope this helps.
Bank of America
You shouldn't experience any problem settling a post-charge-off account with Bank of America - or even whatever collection agency or attorney the account is outsourced to.
Your post is unclear, however. You indicated that originally Bank of America told you they couldn't do anything, but then you talked with them again and they said they could settle the account. So, is the account still with Bank of America, or has it been outsourced? Also, charged off accounts with Bank of America tend to go through a "transitional" period, where they are simply in a holding mode, and can't be worked on until after the account is actually placed with an agency. If this is the case, simply be patient and work the account with whatever agency it lands with.
A charged off account is not the end of the world, and you will definitely be able to negotiate with whomever gets the account. But again, please clarify - is the account with Bank of America, and are they willing to work with you? Or, is it going through that transitional period that I mentioned about?
Thanks for any additional information you can provide.
I think the OP clearly stated that it's still with BofA and that
I think the OP clearly stated that it's still with BofA and that it was a c/o waiting to be sent to a CA but they were able to pull it.
[quote] I call them this morning and I asked them if there was any way to bring it back from "charge off", seeing as how it had only happened 2 days ago. They say no and go into the rigamarole about how once it is in "charge off" mode, they they are basically just waiting to get it out to the collection agency, but as of right now, BA still technically has it. So, I then call the woman who I had set up the payments with two weeks ago and she is sympathetic and actually calls the Recovery Dept. and speaks to them to explain what happened and then so I talked to the Recovery Dept. and after some hemming and hawing, they finally admit that they can do settlements and payments plans right there.[/quote]